Schneiders - After 125 years, plant closes

[Oddmott]

Not sure who pays attention, but the aging meat packing plant in Kitchener was closed down slightly ahead of schedule last thursday. The company continues with a modern, automated factory which has replaced roughly 1500 workers.

About 30 employees remained as the final stack of Schneider's signature sliced bologna made it's way down the line.



I found that tribute video to be particularly touching.

It saddens me that even our best brands - the companies that best reflect Canadians' dedication to better work, better quality, better employment standards, better teamwork - cannot continue in a manner that upholds those values.

To remain competitive, they must eliminate the human element.

[TurkeyRookie]

I cried when the last package of Garlic Bologna was shipped out, use to love that stuff, haven't seen it in years!

[Oddmott]

One of the founders of my dad's first hunt club is a very senior Schneiders' manager. He started work there as a young man, a beginning butcher and worked his way up the ladder for over 50 years.

He'd always bring a never-ending supply of HotRods and other Schneiders' treats each hunting season. Definitely a large part of the reason i developed an appreciation for spicy foods.

Pretty sure Otto is still employed, but i can't imagine he's having much fun supervising machines.

[yellow dog]

My brother in-law was just laid off at Schneider's and was a Supervisor for the last eight years. He is 62 years old and out of a job and would like to keep on working until he is 65.

[JMatthews]

This is a real shame. I used to live just down the street from the Schneider's plant and many of my neighbours at the time worked there.

[trimmer21]

This is sad,indeed,but,when you add up all the extra taxes and premiums for everything under the sun that the province has foisted on them,it's not rocket science to see what happens. Businesses are in business to make a profit and the bigger the profit,the better. They're not in business to be the cash cow of left wing government social programs and mis-spent revenue. If they can't make a profit after they've paid their overhead,they're outta here. It's just that simple.

[Oddmott]

This is sad,indeed,but,when you add up all the extra taxes and premiums for everything under the sun that the province has foisted on them,it's not rocket science to see what happens. Businesses are in business to make a profit and the bigger the profit,the better. They're not in business to be the cash cow of left wing government social programs and mis-spent revenue. If they can't make a profit after they've paid their overhead,they're outta here. It's just that simple.

Pretty sure Maple Leaf Foods (which purchased Schneiders a few years ago) operates and produces out of Ontario and Manitoba.

[C.A. in TO]

Pretty sure Maple Leaf Foods (which purchased Schneiders a few years ago) operates and produces out of Ontario and Manitoba.

Yes, the film said they are making product in Hamilton

[Fox]

Yes, the film said they are making product in Hamilton

It probably makes sense to move to a new facility rather than have to constantly fix and upgrade a 125 year old building.

[JBen]

This is a little dated (from late 2012), is posted just to illustrate that just because A) bought B) it doesn't mean that the bottom line isn't still the bottom line and that Trimmer is incorrect.

Source Bloomberg

The company said earnings from its prepared meat business grew, helped by price increases and the closure of two facilities last year in an effort to simplify its meat processing operations.

Some of these increases were offset by lower revenues from pork processing, which was hurt by unfavourable market conditions in North America and lower margins on exports to Japan and Korea.

Maple Leaf is Canada's biggest food processor, making and selling such well-known store brands as Maple Leaf, Burns and Schneiders hotdogs, Dempster's bread, Olivieri pasta, as well as Shopsy's deli meats and Mitchell's Gourmet foods.

Last year, Maple Leaf announced a plan to cut 1,550 jobs by closing plants in four provinces and streamlining distribution, part of a three-year, $560-million restructuring plan expected to boost competitivenessand profitability.
The company closed two bakeries in the Greater Toronto Area recently as it works to consolidate production at its new bakery in nearby Hamilton, Ont.

In February, it announced it was closing a chicken processing plant in Ayr, Ont., to the detriment of about 100 jobs, as part of a plan to consolidate the company's poultry operations at its Brantford and Mississauga, Ont., plants.

McCain said the restructuring is going as planned and is contributing to the company's margins.

"I think our shareholders, the board and management are all aligned in support of the plans that we are executing," said McCain.

Maple Leaf has 21,000 employees at its operations across Canada and in the United States, Europe and Asia.

So closures in Ontario, (lets call it 10% of their employees/operations) in order to boost competiveness and profit margins by reducing overhead/expenses (streamline)..I don't know like Hydro and taxes maybe? Im guessing X plants use less/cost less than X+4???

21,000 employees globally. I didn't see any closures mentioned in the US, Europe or Asia.